CFTC Chairman Michael Selig announced that the agency is considering formal rules to clarify that non-custodial software developers do not need to register as brokers. This follows the CFTC's issuance of a no-action letter to crypto wallet provider Phantom, indicating that eligible self-custody wallet software developers are exempt from broker registration requirements.
Selig also reiterated that prediction markets fall under the CFTC's federal regulatory jurisdiction. He emphasized the agency's intent to continue legal actions against state governments attempting to restrict prediction markets under state gambling laws.
CFTC Considers Rule to Exempt Non-Custodial Software Developers from Broker Registration
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